Tuesday, July 14, 2009

Foodservice distributor

A foodservice distributor is a company that provides food and non-food products to restaurants, cafeterias, industrial caterers, and hospitals and nursing homes. A foodservice distributor functions as an intermediary between food manufacturers and the foodservice operator.

Foodservice distributors procure pallets and bulk inventory quantities’ that are broken down to case and sometimes unit quantities for the foodservice operator. Most foodservice operators purchase from a range of local, specialty, and broad line foodservice distributors on a daily or weekly basis.

Often a food manufacturer may hire a foodservice brokerage company to represent the manufacturer in a local market. The broker helps the food manufacturer market its products through the foodservice distribution system, which ranges from getting items stocked at the distributor to working with operators to purchase items from the distributor.

Foodservice distribution companies can range in size from a one-truck operation to larger corporations. There are many independent broad line foodservice distribution companies that service chain and multi-unit restaurants based on master distribution agreements with national foodservice groups. 

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